How can blockchain transform the travel industry?

Blockchain Travel – In the today’s technological era, we are surrounded by millions and billions of digital transactions. These transactions form the foundation of our society, and they’re at the points which are revolutionized by a technology called blockchain.

The blockchain is a decentralized database shared across a network of stakeholders where digital transactions are stored and organized in a verifiable, transparent, and secure way.

The information added to the blockchain has to be validated by consensus accepted by all parties rather than by one central administrator. So, errors are reduced as there is no single point of control.

Each block of information added to the chain is time-stamped ensuring that the information is auditable and traceable at any time. Blocks added to the blockchain can never be removed or modified eliminating the risk of data tampering and fraud.

The blockchain is a new technology but it can disrupt the way business is traditionally done. We have investigated the impact it can have on the world of travel.

Here’s how blockchain can transform the travel industry:

Simplifying settlements in the travel value chain

For example, payments, making settlements between different parties like hotels, travel agents, and aggregators can be an extremely complex process, especially, across borders.

Blockchain could streamline this process by reducing the intermediaries and the settlement timing while increasing the overall flow transparency.

Traveler ID verification

Currently, travelers are required to show their ID at multiple stages of the journey. Whether a person has to book a flight, pass security checks, buy something from duty-free shops, or to stay in a hotel, the traveler may need different IDs for multiple purposes. Blockchain could offer a friction-less experience by giving users control over their data. Blockchain uses the immutable trust aspects making it impossible to manipulate the stored information.

Baggage tracking

Another challenge is to keep track of traveler’s luggage as it changes hands from Airlines to ground handlers at airports. Blockchain allows all parties to exchange information even if they are not in the same alliance or related to the same segment. Storing the real-time information about baggage on blockchain can help all stakeholders trace the information at any time.

Making loyalty schemes more user-friendly

Currently, a person can use loyalty points given as a reward by an airline company, can only be used to avail services in the same airlines. But blockchain can solve such problem by offering interoperability. If all loyalty schemes share the same ledger on the blockchain, it can make transferring of traveler’s points more efficient.

Blockchain has the potential to make traveling secure, transparent, and simple. Blockchain-based travel platforms can offer profits to the travel market by connecting users with the travel service providers avoiding aggregators and intermediaries.

If you are finding the right blockchain development company to build a blockchain-based travel solution, contact us and tell us your requirements.